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Eni SpA E, the Italian energy giant, has reached a milestone in its liquefied natural gas (LNG) journey off the coast of Mozambique with the shipping of the 100th LNG cargo from its Coral South floating LNG (FLNG) project in the Rovuma Basin. The achievement marks a major step in the Italian energy company’s efforts to develop Mozambique’s gas resources while advancing its role in the global LNG market.
The Coral South FLNG, the first floating LNG facility deployed in deep waters off Africa, has been producing LNG since November 2022. Eni, the delegated operator of Area 4 on behalf of partners, ExxonMobil and China’s CNPC, announced the milestone shipment as evidence of Mozambique’s rising stature in the LNG supply chain. The FLNG unit boasts a production capacity of 3.4 million tons per annum (mtpa), tapping into 450 billion cubic meters of gas from the Coral reservoir.
This project is the first to monetize the vast 85 trillion cubic feet of gas discovered in Area 4 of the Rovuma Basin, supporting natural gas’ role in the energy transition as a cleaner-burning fossil fuel.
Beyond its technical success, the Coral South project has catalyzed broad economic and social benefits in Mozambique. Eni reported that the venture has generated around 1,400 direct and indirect jobs, with 200 trained Mozambican professionals now working onboard the FLNG. The company has invested nearly $33 million in training local graduates, while Mozambican SMEs have secured contracts valued at approximately $800 million.
Looking ahead, Eni is doubling its ambitions for Mozambique LNG. The government recently approved the development plan for the Coral Norte (North) FLNG project, which will unlock gas from the Coral Eocene 441 deposit in Area 4. Coral Norte FLNG is set to bring in $7.2 billion in investment and generate $23 billion in revenues for Mozambique over 25 years.
The Coral Norte project forms part of a broader development plan that encompasses the Coral Sul (South) FLNG and the upcoming Rovuma LNG onshore facilities, positioning Mozambique as a vital hub in the global LNG supply chain.
Eni’s Mozambique operations align with its broader strategy of supporting the energy transition through natural gas — a lower-emission alternative to coal and oil. By combining resource development with community upliftment, Eni continues to position itself as a partner in Mozambique’s energy-driven growth story.
E’s Zacks Rank & Key Picks
E currently has a Zack Rank #3 (Hold).
Investors interested in the energy sector may look at some better-ranked stocks like Archrock Inc. AROC, Delek Logistics Partners, LP DKL and Kinder Morgan, Inc. KMI. While Archrock and Delek Logistics Partners presently sport a Zacks Rank #1 (Strong Buy) each, Kinder Morgan carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.